Energy Development Corporation (EDC) To Regain Its Poise

EDC has been on the wrong side of things for the last couple weeks as it slip sharply from Php 6.80 to as low as Php 5.75. However, it seems that it is also poised to at least regain some of its losses and resume its long term up move.

As you can see from its weekly chart covering the last 5 years, you will notice that it has just rallied off its long term uptrend. What I want to highlight, though, is the bullish engulfing candle that overshadows its previous monthly dip. This actually signals a likely turnaround in the near term. So if EDC maintains its recent ascent off of its long term uptrend line, aiming for the Php 7.00 marker ir even higher would be a possibility. A fall below its major support, on the flip side, could send it lower to around Php 5.50 or Php 5.00.